Zacks Research Has Strong Estimate for Carvana Q3 Earnings

Key Points

• Zacks Research raised its Q3 2026 EPS estimate for Carvana to $0.48, up from $0.39, while maintaining a “Hold” rating. The firm projects $1.63 in FY2026 EPS and $3.24 in FY2028 EPS.
• Carvana’s latest quarterly results exceeded expectations, with EPS of $0.42 versus the $0.39 consensus and revenue of $7.38 billion versus $6.90 billion. Revenue increased 52.4% year over year, though EPS declined from $1.51 in the prior-year quarter.
• Carvana shares opened at $72.30, and analysts collectively assign the stock a “Moderate Buy” rating with an average price target of $84.14. Institutional investors own 56.71% of shares, while insiders sold approximately $26.6 million worth of stock during the latest quarter.

Carvana Co. (NYSE:CVNA - Free Report) - Research analysts at Zacks Research raised their Q3 2026 earnings per share (EPS) estimates for shares of Carvana in a report issued on Tuesday, August 11th. Zacks Research analyst Team now expects that the company will earn $0.48 per share for the quarter, up from their previous forecast of $0.39. Zacks Research currently has a "Hold" rating on the stock. The consensus estimate for Carvana's current full-year earnings is $1.65 per share. Zacks Research also issued estimates for Carvana's Q4 2026 earnings at $0.38 EPS, FY2026 earnings at $1.63 EPS, Q1 2028 earnings at $0.68 EPS and FY2028 earnings at $3.24 EPS.

Carvana (NYSE:CVNA - Get Free Report) last released its quarterly earnings results on Wednesday, July 29th. The company reported $0.42 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.39 by $0.03. Carvana had a return on equity of 37.06% and a net margin of 6.26%.The business had revenue of $7.38 billion during the quarter, compared to analyst estimates of $6.90 billion. During the same quarter in the previous year, the company posted $1.51 earnings per share. Carvana's revenue for the quarter was up 52.4% on a year-over-year basis.

CVNA has been the subject of a number of other reports. BNP Paribas Exane reduced their price objective on shares of Carvana from $86.00 to $69.00 and set a "hold" rating for the company in a research note on Thursday, July 30th. Gordon Haskett upped their target price on shares of Carvana from $67.00 to $85.00 and gave the stock a "hold" rating in a report on Thursday, April 30th. Stephens raised their price target on Carvana from $86.00 to $97.00 in a report on Thursday, April 30th. Citigroup dropped their price objective on Carvana from $93.00 to $90.00 and set a "buy" rating for the company in a research note on Friday, July 31st. Finally, Royal Bank Of Canada set a $82.00 price objective on shares of Carvana and gave the company an "outperform" rating in a report on Thursday, July 30th. One analyst has rated the stock with a Strong Buy rating, sixteen have issued a Buy rating and seven have assigned a Hold rating to the stock. According to data from MarketBeat.com, Carvana has an average rating of "Moderate Buy" and an average price target of $84.14.

Carvana Trading Up 0.4%

Shares of NYSE:CVNA opened at $72.30 on Thursday. The stock has a 50 day moving average of $66.90 and a 200 day moving average of $69.47. The company has a market cap of $79.56 billion, a PE ratio of 39.99, a price-to-earnings-growth ratio of 2.66 and a beta of 3.46. Carvana has a 12-month low of $54.46 and a 12-month high of $97.38. The company has a current ratio of 3.93, a quick ratio of 2.33 and a debt-to-equity ratio of 0.94.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently added to or reduced their stakes in CVNA. Ascentis Independent Advisors acquired a new position in shares of Carvana during the first quarter valued at about $26,000. Farmers & Merchants Investments Inc. acquired a new position in shares of Carvana in the 4th quarter valued at $29,000. Annis Gardner Whiting Capital Advisors LLC raised its stake in Carvana by 152.6% in the 1st quarter. Annis Gardner Whiting Capital Advisors LLC now owns 96 shares of the company's stock worth $30,000 after acquiring an additional 58 shares during the last quarter. Motiv8 Investments LLC acquired a new stake in Carvana during the 4th quarter worth about $33,000. Finally, GoalVest Advisory LLC grew its stake in Carvana by 400.0% during the 2nd quarter. GoalVest Advisory LLC now owns 500 shares of the company's stock valued at $33,000 after purchasing an additional 400 shares during the last quarter. 56.71% of the stock is currently owned by hedge funds and other institutional investors.

Insider Activity at Carvana

In related news, COO Benjamin E. Huston sold 50,000 shares of the stock in a transaction that occurred on Wednesday, July 1st. The shares were sold at an average price of $68.55, for a total transaction of $3,427,500.00. Following the completion of the sale, the chief operating officer owned 458,755 shares of the company's stock, valued at $31,447,655.25. This represents a 9.83% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available at this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Ira J. Platt sold 15,000 shares of the firm's stock in a transaction that occurred on Monday, June 15th. The shares were sold at an average price of $67.83, for a total transaction of $1,017,450.00. Following the completion of the sale, the director owned 186,470 shares of the company's stock, valued at approximately $12,648,260.10. This trade represents a 7.45% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders sold 391,372 shares of company stock worth $26,555,789 over the last quarter. Corporate insiders own 15.19% of the company's stock.

About Carvana

Carvana Co is an online-only retailer of used vehicles that operates a consumer-facing e-commerce platform for buying and selling cars. The company markets and sells inspected, reconditioned pre-owned vehicles through its website, where shoppers can browse inventory, view detailed 360-degree photos and vehicle history reports, finance purchases, and arrange delivery or pickup. Carvana's model is built around a digital end-to-end car buying experience that aims to simplify vehicle transactions compared with traditional dealerships.

Its products and services include direct retail sales of used cars, trade-in and purchase offers for consumer vehicles, vehicle financing and related protection products, and a seven-day return policy that allows customers to test a vehicle in everyday use.

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